XEROX HIT WITH FEDERAL LAWSUIT

XEROX HIT WITH FEDERAL LAWSUIT

The company is the subject of a 22-page complaint charging Xerox with demanding allegedly excessive leasing fees.

The Rochester Business Journal reports that Xerox Corp. is currently facing a federal lawsuit, filed in the U.S. District Court in Rochester, New York, by California-based avocado grower Eco Farms. Eco Farms is charging Xerox, headquartered in Norfolk, of “demanding extreme and illegal fees on its products and services.”

The California company, which seeks class-action status, claimed that Xerox did not adhere to their agreement of June 2013, routinely charging higher rates than those set out in the agreement.

It was alleged in the suit that Xerox “induces individuals and entities to contract for equipment and supply services without disclosing the true cost of such services” and that “Xerox also buries unconscionable and self-serving contractual provisions in its fine print form contract, resulting in penalties if the customer terminates the contract before its lengthy term expires”.

In addition, according to an article by Phil Hall on Westfair Online, Xerox has been accused of “refusing to replace defective equipment that its technicians could not fully repair.” Eco Farms stated that it “ended its contract by paying Xerox $24, 609, and moved the Xerox equipment to an off-site storage centre for the vendor to pick up”; however despite these actions Xerox has not collected the equipment and is charging the avocado grower $11, 575 “for the cost of its machine.” Eco Farms is refusing to pay.

According to the Rochester Business Journal the total cost of the claim could be as high as $5 million, as the “requested class includes all Xerox customers in the United States that paid a fee that was not authorised in their lease agreements since 2011 and all Xerox customers that paid a termination fee penalty in violation of their lease agreements since 2011.”

Source:  XEROX HIT WITH FEDERAL LAWSUIT

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